Workers at Richardsons Fertilisers in Belfast, which is part of the IFI group to be placed into liquidation next month, have been told that there is no money to pay them after Thursday.
The company, which employs 198 people, received the news ahead of a creditors' meeting, which is due to be held in Dublin on November 8th. The workforce is also concerned that they may only receive 40 per cent of the pension entitlements they had expected because of a shortfall in the fund.
IFI is jointly owned by the Government and the multinational ICI corporation. The Government owns 51 per cent of IFI and ICI has 49 per cent of the company. Some 620 jobs in Cork and Arklow, Co Wicklow, are also to be lost as a result of the liquidation.
In Belfast yesterday furious union representatives hit out at the shareholders for keeping workers in the dark, while management sources admitted they were now in uncharted territory.
One said: "The situation here is dire. There's no legislation or information to tell people they are being paid off or being given notice. All that can be said is there's no money to pay employees."
Northern Ireland Office Minister Mr Ian Pearson was briefed on the crisis during talks with senior factory management yesterday.
A spokesman for the Department of Enterprise and Employment was unavailable for comment yesterday. Last week a spokesman said the Department could not comment on the pension fund shortfall.
Incensed workers claimed the method of liquidation was chosen to avoid paying creditors, including departing workers - many of whom had worked at Richardsons for up to 30 years.
Paying the Belfast workforce notice money and redundancy would cost around £12 million (€19 million), the unions estimate.
Mr Maurice Cunningham, the Amalgamated Transport and General Workers' Union regional officer, claimed he had been told the 90 days' protective notice usually handed out would not be applying at Richardsons.
"The company is saying they can't because they have no money and the banks are stopping their cheques," he claimed. "That means the Irish Government and ICI don't give a fiddlers about workers in the north."
Another shop steward, who asked not to be named, insisted anxious staff had been left in limbo. "There's no money to pay wages and no money to pay people off," he said. "They can't issue P45s because a liquidator hasn't been appointed. People have neither been dismissed or been paid for employment." - (Additional reporting, PA)
